Jnj 3q09 Earnings

Johnson & Johnson Reports 2009 Third-Quarter Results: Sales of $15.1 Billion Decreased 5.3% Versus 2008 Third Quarter EPS of $1.20 increased 2.6% Versus 2008 Third Quarter NEW BRUNSWICK, N.J., Oct 13, 2009 /PRNewswire-FirstCall via COMTEX News Network/ -- Johnson & Johnson (NYSE: JNJ) today announced sales of $15.1 billion for the third quarter of 2009, a decrease of 5.3% as compared to the third quarter of 2008. Operational results declined 2.8% and the negative impact of currency was 2.5%. Domestic sales declined 8.1%, while international sales declined 2.5%, reflecting operational growth of 2.4% and a negative currency impact of 4.9%. Net earnings and diluted earnings per share for the third quarter of 2009 were $3.3 billion and $1.20, respectively, representing increases of 1.1% and 2.6%, as compared to the same period in 2008. The Company raised its earnings guidance for full-year 2009 to $4.54 - $4.59 per share, which excludes the impact of special items. "We continue to successfully manage our broad base of businesses and deliver solid earnings despite the impact of patent expirations and the challenges posed by the current economic environment," said William C. Weldon, Chairman and Chief Executive Officer. "We completed multiple acquisitions and strategic collaborations and received several new product approvals in the quarter that will benefit patients worldwide and drive future growth." Worldwide Consumer sales of $4.0 billion for the third quarter represented a decrease of 2.7% versus the prior year with an increase of 1.1% operationally and a negative impact from currency of 3.8%. Domestic sales decreased 4.4%; international sales decreased 1.4%, which reflected an operational increase of 5.2% and a negative currency impact of 6.6%. Contributing to operational sales growth during the quarter were sales of Dabao skin care products; AVEENO(R) skin care products; SPLENDA(R) No Calorie Sweetener; Le Petit Marseillais(R) beauty care products; and LISTERINE(R) antiseptic mouthrinse. Other growth drivers were sales from the acquisition of Vania Expansion SNC. Worldwide Pharmaceutical sales of $5.3 billion for the third quarter represented a decrease of 14.1% versus the prior year with an operational decline of 11.9% and a negative impact from currency of 2.2%. Domestic sales decreased 19.2%; international sales decreased 7.1%, which reflected an operational decrease of 1.9% and a negative currency impact of 5.2%. REMICADE(R) (infliximab), a biologic approved for the treatment of a number of immune mediated inflammatory diseases, demonstrated solid sales performance during the quarter. Several other pharmaceutical products had strong growth including PREZISTA(R) (darunavir), a treatment for HIV; VELCADE(R) (bortezomib), a treatment for multiple myeloma; and RISPERDAL (R) CONSTA(R) (risperidone) Long-Acting Treatment, an antipsychotic medication. Sales results of TOPAMAX(R) (topiramate), an antiepileptic and a treatment for migraine, and RISPERDAL(R) (risperidone), an antipsychotic medication, were negatively impacted by generic competition. During the quarter, the U.S. Food and Drug Administration (FDA) approved STELARA(TM)( ) (ustekinumab) for the treatment of adult patients (18 years or older) with moderate to severe plaque psoriasis who are candidates for phototherapy or systemic therapy. The FDA also approved INVEGA(R) SUSTENNA(TM) (paliperidone palmitate) extended-release injectable suspension for the acute and maintenance treatment of schizophrenia in adults; the first once-monthly, long-acting, injectable atypical antipsychotic approved in the U.S. for this use. In addition, the FDA approved the Supplemental New Drug Application for INVEGA(R) (paliperidone) extended-release tablets for the acute treatment of schizoaffective disorder either as monotherapy or adjunctive therapy to mood stabilizers and/or antidepressants. On Oct. 6, the European Commission approved SIMPONI(TM) (golimumab) as a once-monthly, subcutaneous therapy for the treatment of moderate-to-severe, active rheumatoid arthritis, active and progressive psoriatic arthritis and severe, active ankylosing spondylitis. During the quarter, the Company completed the acquisition of substantially all of the assets and rights of Elan related to its Alzheimer's Immunotherapy Program as well as an equity investment in Elan. Additionally, the Company announced that it had entered into a licensing and collaboration agreement with Gilead Sciences, Inc., for the development and commercialization of a new fixed dose combination of investigational compound TMC278 (rilpivirine hydrochloride 25 mg) and Gilead's TRUVADA(R) (emtricitabine 200 mg/tenofovir disoproxil fumarate 300 mg) for treatment-naive adult patients with HIV-1. Early in the fourth quarter, the Company announced that it had entered into a strategic collaboration with Crucell, N.V., focusing on the discovery, development and commercialization of monoclonal antibodies and vaccines for the treatment and

prevention of influenza and other infectious and non-infectious diseases. The agreement also included an 18% equity investment in Crucell, N.V. Worldwide Medical Devices and Diagnostics sales of $5.8 billion for the third quarter represented an increase of 2.3% versus the prior year with an operational increase of 4.1% and a negative currency impact of 1.8%. Domestic sales increased 4.5%; international sales increased 0.5%, which reflected an operational increase of 3.8% and a negative currency impact of 3.3%. Primary contributors to the operational growth included Ethicon's surgical care and aesthetics products; Ethicon EndoSurgery's minimally invasive products; DePuy's orthopaedic joint reconstruction, spine, and sports medicine businesses; and Ortho-Clinical Diagnostics' professional products. This growth was partially offset by lower sales in the Cordis franchise, reflecting strong competition in the drug-eluting stent market, and the 2008 divestiture of the Professional Wound Care products in our Ethicon business. About Johnson & Johnson Caring for the world, one person at a time...inspires and unites the people of Johnson & Johnson. We embrace research and science - bringing innovative ideas, products and services to advance the health and well-being of people. Our approximately 117,000 employees at more than 250 Johnson & Johnson companies work with partners in health care to touch the lives of over a billion people every day, throughout the world. NOTE TO INVESTORS Johnson & Johnson will conduct a meeting with financial analysts to discuss this news release today at 8:30 a.m., Eastern Time. A simultaneous webcast of the meeting for investors and other interested parties may be accessed by visiting the Johnson & Johnson website at www.investor.jnj.com. A replay and podcast will be available approximately two hours after the live webcast by visiting www.investor.jnj.com. Copies of the financial schedules accompanying this press release are available at www.investor.jnj.com/historical-sales.cfm. The schedules include supplementary sales data, a condensed consolidated statement of earnings, and sales of key products/franchises. Additional information on Johnson & Johnson can be found on the Company's website at www.jnj.com. (This press release contains "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. These statements are based on current expectations of future events. If underlying assumptions prove inaccurate or unknown risks or uncertainties materialize, actual results could vary materially from Johnson & Johnson's expectations and projections. Risks and uncertainties include general industry conditions and competition; economic conditions, such as interest rate and currency exchange rate fluctuations; technological advances and patents attained by competitors; challenges inherent in new product development, including obtaining regulatory approvals; domestic and foreign health care reforms and governmental laws and regulations; and trends toward health care cost containment. A further list and description of these risks, uncertainties and other factors can be found in Exhibit 99 of the Company's Annual Report on Form 10-K for the fiscal year ended December 28, 2008. Copies of this Form 10-K, as well as subsequent filings, are available online at www.sec.gov, www.jnj.com or on request from Johnson & Johnson. Johnson & Johnson does not undertake to update any forward-looking statements as a result of new information or future events or developments.)

Johnson & Johnson and Subsidiaries ---------------------------------Supplementary Sales Data

(Unaudited; Dollars in Millions) --------------------------------

--------------------Sales to customers by segment of business Consumer U.S. International -----------------

2009 ----

$1,691 2,298 -----

THIRD QUARTER -------------

2008 Total ---- -----

1,769 2,330 -----

Percent Change -------------Operations Currency ---------- --------

(4.4)% (1.4) ----

(4.4) 5.2 ---

(6.6) ----

Pharmaceutical U.S. International -----------------

3,989 -----

4,099 -----

2,857 2,392 ----5,249 -----

3,538 (19.2) 2,575 (7.1) ----- ---6,113 (14.1) ----- -----

Med Devices & Diagnostics U.S. 2,766 International 3,077 --------------------5,843 ----U.S. International ------------Worldwide ---------

2,648 3,061 ----5,709 -----

7,314 7,955 7,767 7,966 ----- ----$15,081 15,921 ------- ------

(Unaudited; Dollars in Millions) --------------------------------

--------------------Sales to customers by segment of business Consumer U.S. International -----------------

Pharmaceutical U.S. International -----------------

2009 ----

(2.7) ----

1.1 ---

(3.8) ----

(19.2) (1.9) ---(11.9) -----

(5.2) ---(2.2) ----

4.5 0.5 --2.3 ---

4.5 3.8 --4.1 ---

(3.3) ---(1.8) ----

(8.1) (2.5) ---(5.3)% ----

(8.1) 2.4 --(2.8) ----

(4.9) ---(2.5) ----

NINE MONTHS -----------

2008 Total ---- -----

$5,125 5,282 6,429 6,917 ----- ----11,554 12,199 ------ ------

Percent Change -------------Operations Currency ---------- --------

(3.0)% (7.1) ---(5.3) ----

9,703 11,401 (14.9) 6,824 7,481 (8.8) ----- ----- ---16,527 18,882 (12.5) ------ ------ -----

(3.0) 4.1 --1.0 ---

(11.2) ----(6.3) ----

(14.9) 1.4 --(8.5) ----

(10.2) ----(4.0) ----

Med Devices & Diagnostics U.S. 8,194 7,959 International 9,071 9,525 --------------------- ----17,265 17,484 ------ ------

3.0 (4.8) ---(1.3) ----

3.0 3.7 --3.3 ---

(8.5) ---(4.6) ----

U.S. International ------------Worldwide ---------

(6.6) (6.7) ---(6.6)% ----

(6.6) 3.1 --(1.8) ----

(9.8) ---(4.8) ----

23,022 22,324 -----$45,346 -------

24,642 23,923 -----48,565 ------

Johnson & Johnson and Subsidiaries ---------------------------------Supplementary Sales Data (Unaudited; Dollars in Millions) --------------------------------

--------------------Sales to customers by geographic area U.S. ---Europe Western Hemisphere excluding U.S. Asia-Pacific, Africa -------------------International ------------Worldwide ---------

2009 ----

THIRD QUARTER -------------

2008 Total ---- -----

$7,314 ------

7,955 -----

(8.1)% ----

(8.1) ----

--

3,879

4,076

(4.8)

2.1

(6.9)

1,338 2,550 ----7,767 -----

1,461 2,429 ----7,966 -----

(8.4) 5.0 --(2.5) ----

1.5 3.5 --2.4 ---

(9.9) 1.5 --(4.9) ----

(5.3)% ----

(2.8) ----

(2.5) ----

$15,081 15,921 ------- ------

(Unaudited; Dollars in Millions) --------------------------------

--------------------Sales to customers by geographic area U.S. ---Europe Western Hemisphere excluding U.S. Asia-Pacific, Africa -------------------International ------------Worldwide ---------

Percent Change -------------Operations Currency ---------- --------

2009 ----

NINE MONTHS -----------

2008 Total ---- -----

$23,022 24,642 ------- ------

Percent Change -------------Operations Currency ---------- --------

(6.6)% ----

(6.6) ----

--

11,522 12,931 (10.9)

1.2

(12.1)

3,615 3,986 7,187 7,006 ----- ----22,324 23,923 ------ ------

(9.3) 2.6 --(6.7) ----

5.8 5.1 --3.1 ---

(15.1) (2.5) ---(9.8) ----

$45,346 48,565 ------- ------

(6.6)% ----

(1.8) ----

(4.8) ----

Johnson & Johnson and Subsidiaries ---------------------------------Condensed Consolidated Statement of Earnings

(Unaudited; in Millions Except

Per Share Figures) ------------------

-----------------Sales to customers -----------------Cost of products sold Selling, marketing and administrative expenses Research expense Interest (income) expense, net Other (income) expense, net --------------------Earnings before provision for taxes on income Provision for taxes on income ------------------Net earnings ------------

THIRD QUARTER ------------2009 ---------------Percent Amount to Sales ------ -------$15,081 100.0 ----------4,434 29.4

2008 ---------------Percent Amount to Sales ------ -------$15,921 100.0 ----------4,774 30.0

Percent Increase (Decrease) --------(5.3) ---(7.1)

4,767 1,617

31.6 10.7

5,195 1,861

32.6 11.7

114

0.7

25

0.2

(96) ---

(0.6) ----

(224) ----

(1.4) ----

----

4,245

28.2

4,290

26.9

(1.0)

900 --$3,345 ------

6.0 --22.2 ----

980 --$3,310 ------

6.1 --20.8 ----

(8.2) ---1.1 ---

Net earnings per share (Diluted)

$1.20

$1.17

Average shares outstanding (Diluted) 2,793.0

2,831.3

Effective tax rate

21.2%

(8.2) (13.1)

2.6

22.8%

Johnson & Johnson and Subsidiaries ---------------------------------Condensed Consolidated Statement of Earnings (Unaudited; in Millions Except Per Share Figures) ------------------

NINE MONTHS -----------

2009 ---------------Percent Amount to Sales ------ --------

---------Sales to customers $45,346 ---------------Cost of products sold 13,135 Selling, marketing and administrative expenses 14,172 Research expense 4,773 In-process research

2008 -------------------Percent Amount to Sales -------------

Percent Increase (Decrease) ------------

100.0 -----

$48,565 -------

100.0 -----

(6.6) ----

29.0

14,139

29.1

(7.1)

31.3 10.5

15,825 5,469

32.6 11.3

(10.4) (12.7)

& development Interest (income) expense, net 280 Other (income) expense, net (165) -------------------Earnings before provision for taxes on income 13,151 Provision for taxes on income 3,091 -------------------Net earnings $10,060 ------------------

Net earnings per share (Diluted)

-

40

0.1

0.6

57

0.1

(0.4) ----

(377) ----

(0.8) ----

----

29.0

13,412

27.6

(1.9)

6.8 --22.2 ----

3,177 ----$10,235 -------

6.5 --21.1 ----

(2.7) ---(1.7) ----

$3.60

2,787.9

2,847.8

Average shares outstanding (Diluted)

$3.61

Effective tax rate -----------------

23.5%

Adjusted earnings before provision for taxes and net earnings Earnings before provision for taxes on income $13,151 Net earnings $10,060 Net earnings per share (Diluted) $3.61 Effective tax rate 23.5% -------

0.3

23.7%

29.0 22.2

$13,452 (1) $10,275 (1)

27.7 21.2

$3.61 (1) 23.6% ----

(2.2) (2.1)

0.0

---

(1) The difference between as reported earnings and as adjusted earnings before provision for taxes on income and net earnings and net earnings per share (diluted) is IPR&D of $40 million with no tax benefit and $0.01 per share, respectively.

REPORTED SALES vs. PRIOR PERIOD ($MM)

2009 ---CONSUMER SEGMENT (2) --------------------SKIN CARE ---------

2008 ----

THIRD QUARTER ------------% Change ----------------------------------Reported Operational (1) Currency -------- --------------- --------

US Intl WW

370 472 842

358 500 858

3.4% -5.6% -1.9%

3.4% -0.1% 1.3%

-5.5% -3.2%

BABY CARE --------US Intl WW

102 442 544

114 472 586

-10.5% -6.4% -7.2%

-10.5% -0.7% -2.6%

-5.7% -4.6%

ORAL CARE --------US Intl WW

187 223 410

204 230 434

-8.3% -3.0% -5.5%

-8.3% 4.8% -1.4%

-7.8% -4.1%

OTC/NUTRITIONALS ---------------US 732 Intl 666 WW 1,398

778 661 1,439

-5.9% 0.8% -2.8%

-5.9% 8.0% 0.5%

-7.2% -3.3%

142 360 502

164 346 510

-13.4% 4.0% -1.6%

-13.4% 11.7% 3.6%

-7.7% -5.2%

WOUND CARE / OTHER -----------------US 158 Intl 135 WW 293

151 121 272

4.6% 11.6% 7.7%

4.6% 18.0% 10.5%

-6.4% -2.8%

1,769 2,330 4,099

-4.4% -1.4% -2.7%

-4.4% 5.2% 1.1%

-6.6% -3.8%

WOMEN'S HEALTH -------------US Intl WW

TOTAL CONSUMER -------------US Intl WW

1,691 2,298 3,989

2009 ---CONSUMER SEGMENT (2) ---------------------

2008 ----

NINE MONTHS ----------% Change ----------------------------------Reported Operational (1) Currency -------- --------------- --------

SKIN CARE --------US Intl WW

1,204 1,313 2,517

1,119 1,418 2,537

7.6% -7.4% -0.8%

7.6% 3.0% 5.0%

-10.4% -5.8%

BABY CARE --------US Intl WW

308 1,233 1,541

340 1,351 1,691

-9.4% -8.7% -8.9%

-9.4% 0.7% -1.4%

-9.4% -7.5%

ORAL CARE --------US Intl WW

549 612 1,161

588 640 1,228

-6.6% -4.4% -5.5%

-6.6% 8.3% 1.1%

-12.7% -6.6%

OTC/NUTRITIONALS ---------------US 2,137 Intl 1,919 WW 4,056

2,299 2,139 4,438

-7.0% -10.3% -8.6%

-7.0% 1.8% -2.8%

-12.1% -5.8%

WOMEN'S HEALTH -------------US Intl WW

443 963 1,406

470 1,005 1,475

-5.7% -4.2% -4.7%

-5.7% 7.2% 3.1%

-11.4% -7.8%

WOUND CARE / OTHER -----------------US 484 Intl 389 WW 873

466 364 830

3.9% 6.9% 5.2%

3.9% 18.8% 10.5%

-11.9% -5.3%

TOTAL CONSUMER -------------US 5,125 5,282 Intl 6,429 6,917 WW 11,554 12,199

-3.0% -7.1% -5.3%

-3.0% 4.1% 1.0%

-11.2% -6.3%

* See footnotes below

THIRD QUARTER -------------

2009 2008 ------PHARMACEUTICAL SEGMENT (2) ---------------------------

Reported --------

% Change -------Operational (1) ---------------

Currency --------

ACIPHEX/PARIET -------------US Intl WW

131 130 261

130 152 282

0.8% -14.5% -7.4%

0.8% -9.0% -4.4%

-5.5% -3.0%

CONCERTA -------US Intl WW

205 79 284

190 208 398

7.9% -62.0% -28.6%

7.9% -59.2% -27.2%

-2.8% -1.4%

DURAGESIC/FENTANYL TRANSDERMAL -----------------------------US 38 54 Intl 168 205 WW 206 259

-29.6% -18.0% -20.5%

-29.6% -15.2% -18.3%

-2.8% -2.2%

LEVAQUIN/FLOXIN --------------US Intl WW

294 17 311

313 20 333

-6.1% -15.0% -6.6%

-6.1% 0.3% -5.7%

-15.3% -0.9%

PROCRIT/EXPREX -------------US Intl WW

299 243 542

334 285 619

-10.5% -14.7% -12.4%

-10.5% -9.6% -10.0%

-5.1% -2.4%

1 96 97

31 107 138

-96.8% -10.3% -29.7%

-96.8% -3.8% -24.7%

-6.5% -5.0%

822 208 6 1,036

778 198 2 978

5.7% 5.1% 200.0% 5.9%

5.7% 5.1% 198.7% 5.9%

1.3% -

RISPERDAL/RISPERIDONE ---------------------US 35 Intl 157 WW 192

122 198 320

-71.3% -20.7% -40.0%

-71.3% -21.4% -40.4%

0.7% 0.4%

RISPERDAL CONSTA ---------------US Intl WW

129 224 353

118 220 338

9.3% 1.8% 4.4%

9.3% 10.2% 9.9%

-8.4% -5.5%

TOPAMAX ------US Intl WW

72 103 175

606 122 728

-88.1% -15.6% -76.0%

-88.1% -7.9% -74.7%

-7.7% -1.3%

VELCADE ------US Intl WW

231 231

1 189 190

-100.0% 22.2% 21.6%

-100.0% 31.1% 30.5%

-8.9% -8.9%

623 938 1,561

663 867 1,530

-6.0% 8.2% 2.0%

-6.0% 13.6% 5.1%

-5.4% -3.1%

TOTAL PHARMACEUTICAL -------------------US 2,857 Intl 2,392 WW 5,249

3,538 2,575 6,113

-19.2% -7.1% -14.1%

-19.2% -1.9% -11.9%

-5.2% -2.2%

RAZADYNE/REMINYL ---------------US Intl WW REMICADE -------US US Exports (4) Intl WW

OTHER ----US Intl WW

MAJOR NEW PHARM PRODUCTS (5) ---------------------------PREZISTA -------US Intl WW INVEGA -----US Intl WW

78 73 151

34 45 79

129.4% 62.2% 91.1%

129.4% 77.0% 99.5%

-14.8% -8.4%

61 36 97

73 16 89

-16.4% 125.0% 9.0%

-16.4% 142.5% 12.3%

-17.5% -3.3%

2009 2008 ------PHARMACEUTICAL SEGMENT (2) ---------------------------

NINE MONTHS ----------% Change ----------------------------------Reported Operational (1) Currency -------- --------------- --------

ACIPHEX/PARIET -------------US Intl WW

397 387 784

399 485 884

-0.5% -20.2% -11.3%

-0.5% -9.3% -5.3%

-10.9% -6.0%

CONCERTA -------US Intl WW

707 238 945

622 345 967

13.7% -31.0% -2.3%

13.7% -20.8% 1.3%

-10.2% -3.6%

DURAGESIC/FENTANYL TRANSDERMAL -----------------------------US 163 199 Intl 492 565 WW 655 764

-18.1% -12.9% -14.3%

-18.1% -4.3% -8.0%

-8.6% -6.3%

LEVAQUIN/FLOXIN --------------US Intl WW

1,045 53 1,098

1,117 63 1,180

-6.4% -15.9% -6.9%

-6.4% 1.4% -6.0%

-17.3% -0.9%

PROCRIT/EXPREX -------------US Intl WW

950 719 1,669

1,014 886 1,900

-6.3% -18.8% -12.2%

-6.3% -9.0% -7.6%

-9.8% -4.6%

30 275 305

123 316 439

-75.6% -13.0% -30.5%

-75.6% -1.2% -22.0%

-11.8% -8.5%

RAZADYNE/REMINYL ---------------US Intl WW

REMICADE -------US US Exports (4) Intl WW

2,330 821 15 3,166

2,138 718 6 2,862

9.0% 14.3% 150.0% 10.6%

9.0% 14.3% 145.8% 10.6%

4.2% -

RISPERDAL/RISPERIDONE ---------------------US 223 Intl 483 WW 706

1,196 645 1,841

-81.4% -25.1% -61.7%

-81.4% -21.3% -60.4%

-3.8% -1.3%

386 640 1,026

339 651 990

13.9% -1.7% 3.6%

13.9% 12.6% 13.0%

-14.3% -9.4%

TOPAMAX ------US Intl WW

642 317 959

1,674 377 2,051

-61.6% -15.9% -53.2%

-61.6% -3.5% -50.9%

-12.4% -2.3%

VELCADE ------US Intl WW

652 652

4 575 579

-100.0% 13.4% 12.6%

-100.0% 26.7% 25.8%

-13.3% -13.2%

2,009 2,553 4,562

1,858 2,567 4,425

8.1% -0.5% 3.1%

8.1% 9.2% 8.8%

-9.7% -5.7%

TOTAL PHARMACEUTICAL -------------------US 9,703 11,401 Intl 6,824 7,481 WW 16,527 18,882

-14.9% -8.8% -12.5%

-14.9% 1.4% -8.5%

-10.2% -4.0%

RISPERDAL CONSTA ---------------US Intl WW

OTHER ----US Intl WW

MAJOR NEW PHARM PRODUCTS (5) ---------------------------PREZISTA -------US Intl WW

215 198 413

109 132 241

97.2% 50.0% 71.4%

97.2% 70.0% 82.3%

-20.0% -10.9%

INVEGA -----US Intl WW

194 93 287

192 39 231

1.0% 138.5% 24.2%

1.0% 168.1% 29.2%

-29.6% -5.0%

* See footnotes below

2009 ----

2008 ----

THIRD QUARTER ------------% Change ----------------------------------Reported Operational (1) Currency -------- --------------- --------

MEDICAL DEVICES AND DIAG (2) (3) ----------------CORDIS (6) ---------US Intl WW

233 407 640

259 431 690

-10.0% -5.6% -7.2%

-10.0% -4.6% -6.6%

-1.0% -0.6%

740 544 1,284

698 533 1,231

6.0% 2.1% 4.3%

6.0% 7.6% 6.7%

-5.5% -2.4%

332 302 634

349 318 667

-4.9% -5.0% -4.9%

-4.9% -0.4% -2.7%

-4.6% -2.2%

439 580 1,019

372 585 957

18.0% -0.9% 6.5%

18.0% 3.8% 9.4%

-4.7% -2.9%

ETHICON ENDO-SURGERY -------------------US 499 Intl 607 WW 1,106

473 569 1,042

5.5% 6.7% 6.1%

5.5% 10.9% 8.4%

-4.2% -2.3%

ORTHO-CLINICAL DIAGNOSTICS -------------------------US 285 261 Intl 216 209 WW 501 470

9.2% 3.3% 6.6%

9.2% 7.0% 8.2%

-3.7% -1.6%

VISION CARE ----------US Intl WW

0.8% 1.2% 1.1%

0.8% -0.2% 0.2%

1.4% 0.9%

4.5% 0.5% 2.3%

4.5% 3.8% 4.1%

-3.3% -1.8%

DEPUY ----US Intl WW DIABETES CARE ------------US Intl WW ETHICON ------US Intl WW

238 421 659

236 416 652

TOTAL MEDICAL DEVICES AND DIAG -----------------------------US 2,766 2,648 Intl 3,077 3,061 WW 5,843 5,709

NINE MONTHS -----------

2009 ----

2008 ----

% Change ----------------------------------Reported Operational (1) Currency -------- --------------- --------

MEDICAL DEVICES AND DIAG (2) (3) ----------------CORDIS (6) ---------US Intl WW

731 1,251 1,982

929 1,375 2,304

-21.3% -9.0% -14.0%

-21.3% -3.9% -10.9%

-5.1% -3.1%

DEPUY ----US Intl WW

2,268 1,631 3,899

2,129 1,717 3,846

6.5% -5.0% 1.4%

6.5% 6.8% 6.7%

-11.8% -5.3%

DIABETES CARE ------------US Intl WW

908 877 1,785

990 966 1,956

-8.3% -9.2% -8.7%

-8.3% 0.2% -4.1%

-9.4% -4.6%

ETHICON ------US Intl WW

1,296 1,717 3,013

1,087 1,835 2,922

19.2% -6.4% 3.1%

19.2% 3.6% 9.3%

-10.0% -6.2%

ETHICON ENDO-SURGERY -------------------US 1,442 Intl 1,794 WW 3,236

1,386 1,783 3,169

4.0% 0.6% 2.1%

4.0% 10.6% 7.7%

-10.0% -5.6%

ORTHO-CLINICAL DIAGNOSTICS -------------------------US 846 749 Intl 616 640 WW 1,462 1,389

13.0% -3.8% 5.3%

13.0% 4.8% 9.3%

-8.6% -4.0%

VISION CARE ----------US Intl WW

2.0% -2.0% -0.5%

2.0% 0.3% 0.9%

-2.3% -1.4%

3.0% -4.8% -1.3%

3.0% 3.7% 3.3%

-8.5% -4.6%

703 1,185 1,888

689 1,209 1,898

TOTAL MEDICAL DEVICES AND DIAG -----------------------------US 8,194 7,959 Intl 9,071 9,525 WW 17,265 17,484

(1) Operational growth excludes the effect of currency (2) Select areas (unaudited) (3) Prior year amounts have been reclassified to conform with current presentation (4) For external purposes, reported as U.S. sales

(5) Included in Other (6) Includes sales of Drug-Eluting Stents for Q3 2009 of $53, $158 and $211MM Domestic, International and Worldwide respectively Includes sales of Drug-Eluting Stents for Q3 2008 of $97, $192 and $289MM Domestic, International and Worldwide respectively Includes sales of Drug-Eluting Stents for September YTD 2009 of $189, $507 and $696MM Domestic, International and Worldwide respectively Includes sales of Drug-Eluting Stents for September YTD 2008 of $433, $650 and $1,083MM Domestic, International and Worldwide respectively

SOURCE Johnson & Johnson http://www.jnj.com Copyright (C) 2009 PR Newswire. All rights reserved